Google paid Apple $1 billion dollars to keep their search bar on iPhone

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This news comes courtesy of a transcript of court proceedings from Oracle’s copyright lawsuit against Google which showed Apple received the sum in 2014.

The search engine giant has an agreement with Apple that gives the iPhone maker a percentage of revenue Google generate through the Apple device, an attorney for Oracle said at a hearing in federal court.

The revenue-sharing agreement reveals the lengths Google must go to keep people using its search tool on mobile devices. It also shows how Apple benefits financially from Google’s advertising-based business model that chief executive officer Tim Cook has criticised as an intrusion of privacy.

Oracle has been fighting Google since 2010 over claims that the search engine company used its Java software without paying for it to develop Android.

Google’s Android operating system has generated revenue of $31 billion and $22 billion in profit, the Oracle lawyer said in court while disclosing figures Google says shouldn’t have been made public.

The damages Oracle now seeks may exceed $1 billion since it expanded its claims to cover newer Android versions.

Annette Hurst, the Oracle attorney who disclosed details of the Google-Apple agreement at last week’s court hearing, said a Google witness questioned during pretrial information said that “at one point in time the revenue share was 34 percent.”

It wasn’t clear from the transcript whether that percentage is the amount of revenue kept by Google or paid to Apple.

An attorney for Google objected to the information being disclosed and attempted to have the judge strike the mention of 34 per cent from the record.